Budget

Rebounding Arizona State Parks System Plans to Add 100 Rental Cabins

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Source:  KJZZ 91.5.com – September 28, 2016

Arizona’s rebounding state parks system plans to more than quadruple the number of rental cabins at parks statewide, one of several major projects on the drawing board to improve and expand parks facilities less than a decade after the system struggled to keep parks open during the Great Recession. A legislative oversight committee’s recent endorsement of the plan set the stage for Arizona State Parks to solicit proposals from private vendors for 100 additional cabins at six parks.

The plan would have the park system pay a fraction of the cabins’ up-front costs, with most of the costs paid by a vendor who would provide the cabins. The state and the vendor then would share the rental revenue.

Parks where new cabins would be located are Cattail Cove at Lake Havasu, Lost imagesDutchman in Apache Junction, Dead Horse Ranch in Cottonwood, Roper Lake near Safford, Alamo Lake north of Wenden and Buckskin Mountain near Parker. There are now 28 cabins at four parks: Roper Lake, Alamo Lake, Dead Horse Ranch and Lyman Lake near Springerville.

THE REASONING BEYOND THE PLAN

Executive Director Sue Black said the basis for the planned additional cabins is a belief that there’s a market for them.  “Visitor service is the No. 1 thing,” she told the Associated Press. “My theory is that people want to rent them.” Cabins are particularly useful to tourists visiting Arizona from other countries who can’t easily camp, she said.

“They don’t have all the equipment and gear to go out camping per se,” Black said. “There is the demand out there.” Investments in park improvements pay off, she said. “We electrified 60 sites at one of the parks and our revenue doubled.”

A LOOK AT THE NUMBERS

The money to pay for the state’s anticipated $963,300 share of the up-front costs would come from two special funds, including one fed by taxes on boaters’ gas purchases.  The state would have the option to purchase the 100 cabins from the vendor for $450,000 per cabin after six years and then receive 100 percent of the rental revenue.

“It’s creative financing is what it is,” Black told the AP. “Raise revenues and re-invest … to generate more revenue. Rinse and repeat.”  The occupancy rate for the existing 28 cabins is about 52 percent, according to legislative budget staff. Senior Fiscal Analyst Micaela Larkin told lawmakers during a Sept. 21 committee hearing that the question is whether that rate can be duplicated when there are many more cabins. Black expressed confidence about that during the AP interview. “There is the demand out there,” she said. “I think it’s an exciting time for the parks.”

TIMES HAVE CHANGED

The oversight committee endorsed the cabins project at a meeting when lawmakers also backed a planned $6.4 million redevelopment of Cattail Cove State Park and a total of nearly $2.5 million of projects at five other parks.  The current lineup of expansion and improvement projects stands in sharp contrast to the beginning of the current decade when during the Great Recession the parks system struggled to keep parks open, let alone add facilities or amenities.

Legislators faced with plummeting tax revenues raided the parks system’s funding, and auditors reported in 2012 that reductions or shifts of park system funding totaled $72 million over a five-year period.  Several parks were closed, and others went to seasonal status and operations as the agency shed personnel to cut costs. The state resorted to asking local governments and volunteers to help keep some parks open.

“Work with Us, Naysayers” – Opinion by Pat Madden, Chairman, Arizona Game and Fish Commission

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Source:  Arizona Central, September 11, 2016

My Turn: Listening to our critics, you’d never know we invest $6 million each89ad1681-20eb-40ea-b511-5d058eaceeb2 year in Arizona to help conserve species.  The Arizona Game and Fish Department conserves and protects the state’s diverse wildlife and promotes safe, compatible outdoor recreation. That’s our mission and we have a long history of successfully managing all 800-plus wildlife species in Arizona.

Political special-interest groups that disagree with the Arizona Game and Fish Commission’s wildlife conservation mission are complaining because we don’t buy into their political agenda.

Our message to agenda-driven ideologues: Work with us.

Listening to the critics, you wouldn’t know that the Game and Fish Commission and the Department invest more than $6 million annually into projects benefiting threatened/endangered species and other non-hunted wildlife. That’s $6 million in on-the-ground conservation, improving the lives of Arizona’s wildlife. We’ll work with any group that will lend a hand.

Here are just a few success stories

Because we collaborated with a coalition of bald-eagle advocates, Arizona’s bald eagles are now plentiful enough to have been delisted from the federal Endangered Species list in 2007.  Since delisting, the breeding population has increased by 30 percent, and the average annual fledgling count has gone from 21 in the 1990s to 55 since 2010. This year, a record 65 pairs of adult eagles produced 78 hatchlings.

Endangered Sonoran pronghorn were on the brink of disappearing from the U.S. by 2002, with only 21 remaining in southwest Arizona. Active management by Game and Fish and our partners has increased Arizona’s herd to more than 350 Sonoran pronghorn, and even more in Mexico.

In 1998, there were no Mexican wolves in the wild in Arizona and New Mexico. Since then, Game and Fish has dedicated significant staff and financial resources to bring the wolf back while working to build social tolerance in local communities.  By collaborating with the U.S. Fish and Wildlife Service and other agencies, Arizona and New Mexico now host 97 known collared wolves and 18 packs, with 42 natural-born offspring last year alone.

We’ll work with anyone to save species.  We also put substantial resources into recovering native fish species with proactive conservation efforts that can reverse the need to list them as endangered. Since 2006, we’ve conducted 300 native fish stockings at 130 sites, helping 18 native species and fostering 112 new native fish populations.

California condors, on the brink of extinction by the early 1980s, now number nearly 430, more than half of which live wild in Arizona, Utah, California and Mexico. Their comeback got an assist from Arizona hunters who voluntarily use non-lead ammo in condor country.

Many other species — desert bighorn sheep, black-footed ferrets, Apache trout, Gould’s turkeys, Chiricahua leopard frogs, and black-tailed prairie dogs to name a few — have benefited from collaborative on-the-ground conservation. We’ve achieved successes because we work with partners who roll up their sleeves and put boots on the ground.

The department will cooperate with any group that values and works toward on-the-ground conservation. We just have difficulty with organizations that focus their resources on rhetoric-laden fundraising letters, scare tactics and litigation. Conservation, like everything in life, only happens when you do the work.

Edward “Pat” Madden is the chairman of the Arizona Game and Fish Commission. Email him at PMadden@azgfd.com.

7 ways to pay for great state parks

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[Source: Arizona Republic Editorial] – The ominous clouds hanging over Arizona State Parks need to start raining money. Parks managers struggle to protect valuable resources with no money from the General Fund. Unique remnants of Arizona’s heritage have lost dedicated money streams meant to protect them.

At risk are playgrounds for urban Arizonans and sources of tourism for rural residents. At stake is the chance for your children and grandchildren to travel through time from cave formations that began 200,000 years ago to prehistoric Indian ruins to a Spanish presidio to a territorial prison — and wrap it all up by waterskiing across a man-made lake.

What’s at stake is something irreplaceable and beloved. “It’s time people got their dander up and told the Legislature this is one thing that touches their lives,” says Ken Travous, former executive director of Arizona State Parks.

Here’s what people should tell lawmakers:

• Restore the State Parks share of the Heritage Fund. In 1990, voters approved $10 million a year from Lottery revenues for parks. During the recession, lawmakers took that funding. Several attempts to restore it have failed at the Legislature. It’s past time to give it back.

• Restore the authority of State Parks to spend money raised from gate fees, gift shops and other money-making enterprises. Park managers used to put increased revenue to work for the parks. Now they need legislative authorization to spend the money the parks make. Beginning in 2003, that enhancement fund was swept by lawmakers and used to supplant General Fund appropriations.

• Encourage innovation and resource development through parks’ concessions and development. Parks Director Bryan Martyn is looking at a plan to contract with a single concessionaire for all the state parks. It could result in more investment in the parks if the private contractor serving big money-makers, such as Lake Havasu, also is required to develop resources in less-visited parks. The State Parks Board needs to carefully scrutinize any contract to make sure it serves the public’s best interest.

• Recognize the need to create additional sources of permanent dedicated funding. A 2009 Morrison Institute report put the cost of operating and maintaining the parks at $40 million to $44 million a year. The current budget is half that. In addition, the parks have at least $80 million in capital needs. The idea of a surcharge or voluntary donation on vehicle registration has been floated — and rejected by lawmakers — since 2009. It is a painless way for people to add $5 or $10 every year to benefit state parks.

• Dedicated means dedicated. Protect funds that benefit the parks from legislative raids or sweeps.

• Restore the authority of the State Parks Board to hire and fire the parks director. That position became a political appointee with 2012 changes in the state personnel system. The director now serves at the pleasure of the governor. The parks board lost clout. The director lost the independence of being insulated from a governor’s whims.

• Face facts. “No state parks system in the United States pays for itself from earned revenue,” according to the Morrison Institute report, “The Price of Stewardship: The Future of Arizona’s State Parks.” Parks need more than they get from Arizona’s Legislature. They deserve more.

Arizonans demonstrated their support by establishing the Heritage Fund in 1990, and they reiterated that sentiment nearly two decades later when a Gallup Arizona poll released by the Center for the Future of Arizona found that “the state’s natural beauty and open spaces are seen by citizens as our greatest asset.”

It’s time to stop stiffing state parks.

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WHAT YOU CAN DO

Arizona State Parks are a resource for today and a promise for tomorrow. But short-sighted funding decisions imperil their future. You can help change that.

  • VISIT. Arizona’s state parks offer dazzling natural wonders, family recreational activities and authentic windows into Arizona’s history and prehistory. azstateparks.com
  • BE A CHAMPION. There’s an election coming up. Ask candidates for state office how they plan to support Arizona’s parks and let them know you want this to be a priority issue.
  • GET INVOLVED. More than a dozen parks have volunteer “friends” groups that provide fund-raising and other services for their chosen park. For information on joining or starting one: azstateparks.com/volunteer/v_foundation.html

Arizona State Parks Foundation is a non-profit that engages in advocacy, fund-raising, and other support. Visit their website at arizonastateparksfoundation.org  The Arizona Heritage Alliance is a non-profit that promotes and protects the Heritage Fund and its goals: azheritage.org

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ABOUT THIS SERIES

Arizona State Parks are a valuable resource in great peril. Stripped of funding during the recession, they struggle without state money and stagger under deferred maintenance. Yet they offer open spaces and outdoor recreation for a growing urban population and an economic engine for rural communities. Popular with the public, but lacking political support, funding solutions can help the parks deliver on their remarkable potential.

A big idea to close Arizona parks’ budget gap

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[Source: Bryan Martyn, Arizona Republic Opinion] – Arizona State Parks and programs generate more than $300 million annually for rural economies thanks to the almost 2.5 million visitors exploring Arizona’s wide-open spaces.

Unfortunately, the legislative funding to keep parks healthy and promoting Arizona’s tourism has dwindled to almost nothing. Five years ago State Parks’ operating funds were swept by $81 million and the annual $10 million from the voter-approved Heritage Fund was eliminated.

To help overcome these operating fund losses and to create funding to mitigate an $80 million backlog in park maintenance projects, the agency made it a mission to review best business practices from around the country to help identify alternative funding sources.

One of the best business concepts is to create additional revenue by enhancing the services provided by private concessionaires.

The State Parks department utilizes eight concessionaires who provide valuable amenities and services within the parks. These concessions provide everything from boat rentals to fishing tackle.

Many of these small concession contracts are expiring soon, and these facilities are in need of new capital improvements. To address this issue, the agency is exploring the possibility of attracting a single concessionaire with the business acumen and financial strength to dramatically increase the agency’s concession revenues and provide amenities to help drive those revenues.

Arizona’s state parks directly and indirectly generate millions of dollars each year to boost Arizona’s tourism economies. Parks currently generate $13 million annually through gate fees to operate all parks and statewide agency programs.

The agency has 163 full-time employees, down from more than 400 in 2007. We effectively utilize 1,000 volunteers who donate $5 million worth of salaried time to help keep the parks operating.

Bryan Martyn is director of Arizona State Parks.

Story Highlights

  • State parks struggle to find the money to stay afloat
  • Staff and volunteers have performed valiantly
  • But hiring a single concessionaire could provide the financial acumen to improve amenities